Orange brokers get warning

Friday

May 10, 2013 at 2:00 AM

CITY OF NEWBURGH - Mike Mullis, an international site selector for major development projects, gave Orange County some candid advice Thursday: Speed up the public approvals process and get vacant land shovel-ready ASAP. Also, keep an eye on a rapidly developing corridor in eastern Pennsylvania, Mullis warned the audience of more than 100 people, mostly commercial real estate brokers, at the Orange County Partnership's Commercial Real Estate Summit. It was held Thursday at the Newburgh Brewing Co. In two years, the Pennsylvania corridor will be in the same position Orange County was in 15 years ago — not having to aggressively seek new projects, Mullis said.

jessica dinapoli

CITY OF NEWBURGH — Mike Mullis, an international site selector for major development projects, gave Orange County some candid advice Thursday: Speed up the public approvals process and get vacant land shovel-ready ASAP.

Also, keep an eye on a rapidly developing corridor in eastern Pennsylvania, Mullis warned the audience of more than 100 people, mostly commercial real estate brokers, at the Orange County Partnership's Commercial Real Estate Summit. It was held Thursday at the Newburgh Brewing Co. In two years, the Pennsylvania corridor will be in the same position Orange County was in 15 years ago — not having to aggressively seek new projects, Mullis said.

"Pennsylvania will have your lunch," he said. "They're working on it every day and doing a good job." Orange County already lost out on a 1.5-million-square-foot project with 700 jobs to that part of Pennsylvania, he said. He added that the county, without even knowing it, has lost another five to six projects to other regions.

Newburgh, a city with its own lengthy list of problems, was the backdrop for the summit.

A minitour of the waterfront before the event highlighted some successes — like a row of restaurants — and a significant failure: City planner Ian MacDougall pointed out a stretch of hillside overlooking the Hudson River that Leyland Alliance of Tuxedo had planned to develop into a mix of homes and businesses until the deal fell through.

The Newburgh Brewing Co. was counted among Newburgh's high points. Orange County Partnership staff helped pull pints of beer for the real estate brokers at lunch, and some left the former paper-box factory toting growlers, glass jugs filled with beer.

Keynote speaker Mullis, who helped Orange County land the United Natural Foods warehouse coming to the Town of Montgomery, softened his criticism at some points. He praised the work of the Partnership and County Executive Ed Diana, who attended the event.

The county's transportation network is also a major plus.

"Logistics are key," he said. "They're the largest marketing factor you have."

Mullis, who works out of Memphis, Tenn., picked up on an element of the Orange County economic development scene that those directly involved — often in multiple capacities — might not realize.

"You're all brothers and sisters," Mullis said. "I've never seen a more incestuous market in my life. Everyone knows everything."

There are some benefits to the tight-knit network, but it might scare executives who will wonder about conflicts of interest, he said.

Mullis recommended the county do long-term planning to bring important, large pieces of commercial real estate "out of the woodwork." With that, there could be "no end to the amount of development" in the county.